Budapest Post

Cum Deo pro Patria et Libertate
Budapest, Europe and world news

New Orleans cracks down on influx of Airbnb-style short-term rentals with new restrictions

New Orleans cracks down on influx of Airbnb-style short-term rentals with new restrictions

New Orleans regulations limit owners to licensing one short-term rental property per block and require that operator live on the property

New Orleans, a city dependent on tourism, adopted new regulations on Airbnb-style short-term rentals on Thursday after an emotional debate between residents and council members.

When the new rules take effect in July, owners of short-term rentals in the city will be limited to licensing one property per block and the operator must live on the property – whether it's the owner or a renter allowed to reside there.

The decision came after a federal appeals court ruling in August obliterated a regulation designed to stop "whole house" vacation rentals by absentee homeowners, The Associated Press reported. The ruling also reignited heated arguments surrounding short-term rentals in the city since they became popular in the mid-2010s.

"The neighborhoods are split on this," New Orleans city council member Freddie King said. "Neighbors are split on this."

A resident speaks out against short-term rentals during a City Council meeting at City Hall in New Orleans, Thursday, March 23, 2023.


Opponents and supporters of increased regulations have been vocal about their contrasting feelings on the effects of the short-term rental market on the city.

Those against the new rules say the Airbnb-style properties broaden the city's tourism market and provide "necessary supplemental" income to homeowners.


Supporters of the regulations say the influx of vacation rentals, typically driven by outside investors and absentee owners, inflate property costs and taxes for residents. They also believe short-term rentals cater to partiers and have changed the atmosphere of the "once quiet and charming areas."

One New Orleans native in favor of the regulations said his neighborhood has been "taken over by wealthy investors."

"It's become a playground for tourists and for those wealthy investors," he said. "We're becoming a smaller, whiter tourist resort. Less like the city I grew up in with every passing year."

The old regulation limited short-term rental licenses to the license-holder's primary residence – a residence for which they claim a Louisiana homestead property tax exemption, according to The AP, which eliminated out-of-state property owners.

Upon review, a panel of three judges at the 5th U.S. Circuit Court of Appeals unanimously ruled that the aforementioned regulation unconstitutionally restricted interstate commerce.

Dawn Wheelahan, an attorney for short-term rental interests, told The AP on Friday that the challenges in court will continue. Two of her clients are reportedly a woman who has residences in Portland, Oregon, and New Orleans, and a company that manages short-term rentals in various cities.

Wheelahan said the new rules have multiple legal and constitutional problems, adding that the new requirement states only a "natural person" can hold a property license, not a cooperation.

"The prohibition against corporate entities holding permits violates the Supreme Court’s 2010 Citizens United decision holding that corporate entities have the same First Amendment rights as natural persons," she said in an email to The AP.

Some people already holding licenses said they are worried about their future income as existing holders who want to renew their licenses will have to win a lottery against other applicants on their block.

"You might put me in a lotto and, just like that, I could lose my retirement income," said one woman, adding that renting part of her house to vacation guests is more lucrative than having long-term tenants. "If I have to go back to long-term rental, I will have to sell my house."

Councilmembers Jean Paul "JP" Morrell and Helena N. Moreno listens to public comments on short-term rentals during a City Council meeting at City Hall in New Orleans, Thursday, March 23, 2023.


Council member Eugene Green said the one-per-block limit is a compromise with the people who want vacation rentals completely eliminated.

"I've seen the signs saying, ‘My STR is my retirement,’" Green said. "But for the people that I've spoken to, their homes and their neighborhoods are their retirement."

Council members included an amendment from King that gives property owners the opportunity to apply for an increase in the limit for a given area. In order for the application to be approved, there would be bureaucratic review, public comment from affected neighbors and a vote by the council.

AI Disclaimer: An advanced artificial intelligence (AI) system generated the content of this page on its own. This innovative technology conducts extensive research from a variety of reliable sources, performs rigorous fact-checking and verification, cleans up and balances biased or manipulated content, and presents a minimal factual summary that is just enough yet essential for you to function as an informed and educated citizen. Please keep in mind, however, that this system is an evolving technology, and as a result, the article may contain accidental inaccuracies or errors. We urge you to help us improve our site by reporting any inaccuracies you find using the "Contact Us" link at the bottom of this page. Your helpful feedback helps us improve our system and deliver more precise content. When you find an article of interest here, please look for the full and extensive coverage of this topic in traditional news sources, as they are written by professional journalists that we try to support, not replace. We appreciate your understanding and assistance.
Newsletter

Related Articles

0:00
0:00
Close
Satirical Sketch Sparks Political Spouse Feud in South Korea
Indonesia Quarry Collapse Leaves Multiple Dead and Missing
South Korean Election Video Pulled Amid Misogyny Outcry
Asian Economies Shift Away from US Dollar Amid Trade Tensions
Netflix Investigates Allegations of On-Set Mistreatment in K-Drama Production
US Defence Chief Reaffirms Strong Ties with Singapore Amid Regional Tensions
Vietnam Faces Strategic Dilemma Over China's Mekong River Projects
Malaysia's First AI Preacher Sparks Debate on Islamic Principles
Meta and Anduril Collaborate on AI-Driven Military Augmented Reality Systems
Russia's Fossil Fuel Revenues Approach €900 Billion Since Ukraine Invasion
Alcohol Industry Faces Increased Scrutiny Amid Health Concerns
U.S. Goods Imports Plunge Nearly 20% Amid Tariff Disruptions
Italy Faces Population Decline Amid Youth Emigration
Trump Accuses China of Violating Trade Agreement
OpenAI Faces Competition from Cheaper AI Rivals
Foreign Tax Provision in U.S. Budget Bill Alarms Investors
Russia Accuses Serbia of Supplying Arms to Ukraine
Gerry Adams Wins Libel Case Against BBC
EU Central Bank Pushes to Replace US Dollar with Euro as World’s Main Currency
U.S. Health Secretary Ends Select COVID-19 Vaccine Recommendations
Trump Warns Putin Is 'Playing with Fire' Amid Escalating Ukraine Conflict
India and Pakistan Engage Trump-Linked Lobbyists to Influence U.S. Policy
U.S. Halts New Student Visa Interviews Amid Enhanced Security Measures
Trump Administration Cancels $100 Million in Federal Contracts with Harvard
SpaceX Starship Test Flight Ends in Failure, Mars Mission Timeline Uncertain
King Charles Affirms Canadian Sovereignty Amid U.S. Statehood Pressure
EU Majority Demands Hungary Reverse Anti-LGBTQ+ Laws
Top Hotel Picks for 2025 Stays in Budapest Revealed
Iron Maiden Unveils 2025 Tour Setlist in Budapest
Chinese Film Week Opens in Budapest to Promote Cultural Exchange
Budapest Airport Launches Direct Flights to Shymkent
Von der Leyen Denies Urging EU Officials to Skip Budapest Pride
Alcaraz and Sinner Advance with Convincing Wins at Roland Garros
EU Ministers Lack Consensus on Sanctioning Hungary Over Rule of Law
EU Nations Urge Action Against Hungary's Pride Parade Ban
Putin's Helicopter Reportedly Targeted by Ukrainian Drones
U.S. Considers Withdrawing Troops from Europe
Russia Deploys Motorbike Squads in Ukraine Conflict
Critics Accuse European Court of Human Rights of Overreach
Spain Proposes 100% Tax on Non-EU Holiday Home Purchases
German Intelligence Labels AfD as Far-Right Extremist
Geert Wilders Threatens Dutch Coalition Over Migration Policy
Hungary Faces Multiple Challenges Amid EU Tensions and Political Shifts
Denmark Increases Retirement Age to 70, Setting a European Precedent
Any trade deal with US must be based on respect not threats', says EU commissioner
UK Leads in Remote Work Adoption, Averaging 1.8 Days a Week
Thirteen Killed in Russian Attacks Across Ukraine
High-Profile Incidents and Political Developments Dominate Global News
Netanyahu Accuses Western Leaders of 'Emboldening Hamas'
Ukraine and Russia Conduct Largest Prisoner Exchange of the War
×